Oh... deep shxt loh..  ..I thought this FD discussion thread was only started in V1..?
Did not know that this has been started since many years in this forum..? 

Thanks so much for the link, Warrior..    Your GPA is 5.0 
  I guess 2 possibilities:
(1) Banks FD competitions
(2) Volatile FD rates or OPR kept changing up and down at that time? 
(1) I am comparing these 2 banks like this:
    HSBS is Jaguar and May Bank is Perodua.
    Jaguar spare parts are more expensive than Perodua, and Jaguar service is better.
    So, you pay more money (earn less interest rate) for a better car and better service.

(2) I think HSBC primary target market is foreigners or for people (especially businessmen)
    who are traveling a lot. These type of customers do not care about FD rate.

(3) HSBC is an investment house, they want you to invest rather than put money in FD.